Codelco denies report of copper shipment cuts to China

SANTIAGO: Chilean state minerCodelco, the world's top producer of copper, on Wednesday disputed reports that it intended to slash shipments of the red metal to China next year due to concerns over production.

According to reports by Fastmarkets and Bloomberg, Codelco doesn't accept as correct the information suggesting a reduction in shipments to China.

The reports, citing unnamed sources, said Codelco would slash copper shipments to China by between 10 -- 50 per cent, after the mining firm reduced its production forecast for this and next year.

Codelco did not give any more information or fully rule out plans to make shipment cuts, saying in a statement it does not comment on its business strategy to the press. In its third quarter, Codelco cut its production forecast in October, due to lower ore grades, lower copper recovery levels and operational difficulties.

Codelco cut its copper production estimates for the year to between 1.465 million and 1.435 million tons, a decrease from the 1.49 million to 1.51 million tons it had predicted in August.

In early November, the company announced that its Chuquicamata smelter would remain closed for at least 135 days due to maintenance.